Three layers of cost
Provider tokens are only the first layer. Add per-request overhead (moderation, logging) and payment or platform fees before you call a price “profitable.”
Markup is not margin
A 100% markup means you charge 2× API cost, but fees and overhead shrink the real margin. Always check margin % on the final customer price.
Set a floor, then a target
Break-even covers costs after fees. Target price adds the margin you need for support and product development. Use the margin calculator for both.
FAQ
Is this the same as SaaS unit economics?
Related but narrower. The margin calculator focuses on cost vs customer charge per request. SaaS unit economics adds MAU, adoption, and seat plans.